Taiwanese media outlet Liberty Times reported that China’s plan to invest $400 billion in Iran may be in jeopardy following recent developments in the Iran-Israel conflict as well as the recent U.S. Air Force strikes against sites linked to Iran’s nuclear program.
In 2021, China and Iran signed a 25-year strategic agreement, with China pledging major investments in exchange for stable, low-cost oil. However, geopolitical tensions and financial strains have already slowed progress, and recent developments in Iran mean the future of China’s infrastructure projects in the region is now uncertain.
Key Chinese investments at risk include:
- Oil fields: Over $30 billion invested in North Azadegan, Yadavaran (49 percent Sinopec stake), and Rainbow (40 percent CNOOC stake).
- China-Iran International Railway: Launched in May 2025, from China’s Xi’an city to Iran’s Apolin Dry Port via Central Asia.
- Major rail projects: Tehran-Hamadan-Sanandaj, Shiraz-Bushehr, and Kermanshah-Khosravi, totaling over 13 billion RMB (US$1.8 billion).
- Tehran North Freeway: $257 million investment, opened in 2020.
- Tehran Imam Khomeini Airport expansion: $2.7 billion project, now stalled after Israel’s June 2025 airstrike.
- Ports: Chinese-supported upgrades at Chabahar and Bandar Abbas.
Source: Liberty Times (Taiwan), June 23, 2025
https://ec.ltn.com.tw/article/breakingnews/5083054